For Each of the Following Activities That May Take Place

question 112

Multiple Choice

For each of the following activities that may take place during the accounting period, indicate the effect (a-g) on the statement of cash flows prepared using the indirect method. Choices may be selected as the answer for more than one question.
-Purchase of equipment

• A)Increase cash from operating activities
• B)Decrease cash from operating activities
• C)Increase cash from investing activities
• D)Decrease cash from investing activities
• E)Increase cash from financing activities
• F)Decrease cash from financing activities
• G)Noncash investing and financing supplement

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Definitions:

Intelligence

Intelligence is the capacity for learning, reasoning, understanding, and similar forms of mental activity; aptitude in grasping truths, relationships, facts, meanings, etc.

Creativity

The ability to generate novel and useful ideas, solutions, or products through imaginative thought processes and original thinking.

Positive Correlation

A relationship between two variables where both either increase or decrease together.

Negative Correlation

A connection between two factors where as one escalates, the other diminishes.